Thailand clamps down on energy drink advertising

BANGKOK: Thailand is clamping down on advertising by energy drink brands, a move which is unlikely to have a big impact on existing brands, but it will make it more difficult for newcomers to establish in the market, observers say.

Under proposed regulations to take effect in December, energy drink firms will be prohibited from advertising product benefits or showing packaging on broadcast or print media without an accompanying warning. The Food and Drinks Authority "feel that right now, it's not a product that really benefits the health, and that they are geared towards the young generation", said Parames Rachjaibun, chairman of the Ad- vertising Association of Thailand. The FDA has also forbidden advertisers from using teen celebrities as endorsers.

Japanese food giant Ajinomoto has said that it will launch an energy drink in the first quarter of next year, around the same time that Coca-Cola is expected to put its own competitor in the ring.

There were fears the FDA planned to impose the same 5am-10pm ban on broadcasting energy drink ads, as recently imposed on alcohol.

Many brands will not have to do much to comply, as ads in the sector are already focusing on branding rather than product, notes Witawat Jayapani, CEO of Creative Juice\G1, which handles Krating Daeng.

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